The Port of Melbourne has been successfully leased for $9.7 billion, with 10 per cent of the total lease amount (more than $970 million) to be invested into regional and rural infrastructure projects for Victoria.

Commenting on the lease, Treasurer Tim Pallas said “Regional Victoria will be big winners from the lease, with significant funding to support projects they need, like better roads, and irrigation and energy projects.

“Leasing the port reinforces Victoria’s position as the freight and logistics capital of Australia and will make a great port even better,”

The members of Lonsdale Consortium are highly experienced asset owners and they will ensure the port’s operational integrity as well as bring more access to capital which will guarantee the ongoing development of the Port of Melbourne, enhancing the State’s reputation as Australia’s leading port.

“Through this lease we are supporting our State’s vibrant regional communities, and putting agriculture back at the heart of Victoria’s economic development.

“With the successful lease of the Port of Melbourne, regional and rural Victoria will go from strength to strength,” Acting Minister for Regional Development Luke Donnellan said.

This investment will be allotted for infrastructure projects and programs which the agriculture sector will benefit from. Benefits will include transport, irrigation and energy projects as well as market access campaigns and skills development programs.

A $200 million Agriculture Infrastructure and Jobs Fund has already been delivered by the Andrews Labor Government. This funding will drive economic growth to the State as well as create jobs, boost exports and support local farmers from paddock to port. Key projects, such as the Macalister Irrigation Project in Gippsland, are already being supported by this.

“We promised that we would lease the Port of Melbourne, while ensuring our regional and rural communities get the support and funding they need to prosper and that’s exactly what we are doing,” Premier Daniel Andrews said.

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